Thursday, 30 October, 2014 3:49 PM

Posted by Kevin Scully

 The Xinhua News Agency reported on Tuesday that China's State-Owned Assets Supervision and Administration Commission wanted to merge both China CNR and CSR Corp - China's two state-owned railcar makers together.  At the entities named above have refused to comment.  

I contacted Midas CEO Patrick Chew and asked for his views on the proposed merger.  He felt that was no negative impact on Midas but there could be some upside as it could be easier to do business with a single entity.  He also felt that an enlarged railcar maker in China could also be a more serious bidder and supplier of railcars in overseas projects.

Its an interesting view as Midas has supplied to both parties.  But as of now its only a rumour but the impact on Midas is likely to be neutral the positive in the ...